LF Woodford Equity Income Fund
All dealing in the Woodford Equity Income fund has been temporarily suspended.
Link Fund Solutions, the fund’s authorised corporate director, made the decision to suspend the fund to provide existing investor protection due to concerns about redemptions. The suspension is likely to last until early December and will be reviewed by Link Fund Solutions at the end of the period, and subject to a report to the regulator, will be either extended or lifted.
You can read more about the suspension here.
LF Woodford Equity Income Fund suspension
Frequently asked questions
Dealing in the Woodford Equity Income Fund was suspended on 3 June 2019 by the authorised corporate director (ACD), Link Fund Solutions. The suspension was reviewed on 1 July 2019 and was extended for another 28 days. On further review, Link Fund Solutions announced that it remains in the best interests of investors for the suspension to continue and that the suspension of investor dealing is likely to last until early December. We will continue to update you with any information we receive from them.
The primary reason is to protect investors due to concerns about redemptions. Over the last 12 months, the fund size has fallen significantly due to poor performance and investor withdrawals. Today, the fund is worth £3.7 billion, compared to £6.8 billion twelve months ago.
The suspension applies to all dealing, so buys, sells and transfers are not possible during the period of the fund's suspension.
All units currently held will continue to be held in the fund. The last available fund price (at noon on 31 May) was 86p for those who are taking income, and 100.89p for accumulation units.
The suspension impacts all trades placed since 10.30 on 3 June and we're waiting on full details from the fund manager on how 'inflight' transactions will be treated. In the meantime, we can confirm any transactions instructed this morning will be held at awaiting order and can be cancelled, through the normal adviser cancellation process.
We'll provide an update on inflight trades as soon as we can.
We'll continue to provide updates on this webpage and on our wrap platform. Advisers will be kept informed via email and the platform support tab.
The Financial Conduct Authority (FCA) has requested that we let our individual investors affected by the suspension know too, so all relevant customers will receive a letter from us, early next week.